Here’s Why The Walt Disney Company (DIS) Declined in Q3

Core Insights - Cullen Capital Management's SCCM Value Equity Strategy reported a gross return of 6.9% in Q3 2025, outperforming the Russell 1000 Value's 5.3% and the S&P 500's 8.1% during the same period [1] - Year-to-date, the strategy achieved a gross return of 13.0%, compared to Russell 1000 Value's +11.7% and S&P 500's +14.8% [1] Company Performance - The Walt Disney Company (NYSE:DIS) experienced a one-month return of -6.01% and a 52-week decline of 6.98%, closing at $106.28 with a market capitalization of $189.74 billion on November 18, 2025 [2] - Disney's stock selection was the largest detractor from the SCCM Value Equity Strategy's relative performance, with a reported decline of 7.7% [3] - Disney's third-quarter results slightly missed expectations in the Entertainment segment and fell short of streaming growth forecasts, although Direct-to-Consumer revenue increased by 6% [3] - Management raised full-year EPS guidance to $5.85, indicating confidence in cost discipline and earnings recovery, while domestic parks revenue rose by 10% [3] Hedge Fund Interest - The Walt Disney Company was held by 111 hedge fund portfolios at the end of Q2 2025, an increase from 104 in the previous quarter, indicating growing interest among hedge funds [4]